This optimistic projection was shared in a recent ABTA report released alongside the Government’s Spending Review and ABTA’s Travel Matters conference in London. The report emphasizes the importance of a supportive tax and regulatory environment to unlock the sector’s full potential.
Outbound travel continues to play a vital role in the UK economy, contributing £52 billion in Gross Value Added (GVA) annually and generating £10 billion in tax revenue. In addition to these economic benefits, the sector is also critical for the sustainability of regional airports and the health of inbound tourism.
Airports such as East Midlands, Manchester, Birmingham, Bristol, and Exeter are heavily reliant on outbound leisure passengers, with dependency rates between 75% and 90%. ABTA warns that without steady outbound travel flows, these airports—and the local communities they support—could face significant challenges.
The report also highlights recent positive developments, including progress on airport expansion, airspace modernization, and investment in a domestic Sustainable Aviation Fuel (SAF) industry. Furthermore, the UK-EU summit’s commitment to exploring a youth mobility scheme is seen as a promising step toward strengthening travel ties and opportunities for young people.
Despite these advancements, ABTA stresses the need for urgent and effective government action. The association outlines three priority areas:
- Leadership in sustainable travel – through clear policies and a strong SAF mandate.
- Improving global competitiveness – by reforming business rates and reducing tax pressures on UK travel companies.
- Enhancing UK-EU relations – to improve mobility, travel ease, and mutual recognition of qualifications.
ABTA’s appeal comes at a crucial time. With the right support, the outbound travel industry has the potential to drive meaningful economic growth and create thousands of jobs across the UK.
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Photos Source: Canva AI
